More pain predicted for China’s stock market

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(RTTNews) – China’s stock market has alternated between positive and negative results over the past six trading days since ending a three-day losing streak in which it fell nearly 55 points or 1, 7%. The Shanghai Composite Index is now just below the 3,190 plateau and is expected to reopen under pressure on Wednesday.

The global forecast for Asian markets is weak due to growing geopolitical tensions between the United States and China and concerns about a slowing economy. European and American markets were down and Asian stock exchanges should follow suit.

The SCI ended sharply lower on Tuesday after losses in financials, real estate and resources and energy companies.

For the day, the index plunged 73.69 points or 2.26% to end at 3,186.27 after trading between 3,155.19 and 3,231.26. The Shenzhen Composite Index fell 64.32 points or 2.92% to end at 2,138.17.

Among assets, Industrial and Commercial Bank of China lost 0.46%, while Bank of China lost 0.66%, China Construction Bank fell 0.90%, China Merchants Bank fell 1.77% , Bank of Communications fell 0.44%, China Life Insurance fell 3.38%, Jiangxi Copper fell 2.66%, Aluminum Corp of China (Chalco) fell 4.54%, Yankuang Energy fell 1.52%, PetroChina fell 1.92%, China Petroleum and Chemical (Sinopec) sank 0.73%, Huaneng Power plunged 4.28%, China Shenhua Energy fell 1.65 %. %, Gemdale fell 3.16%, Poly Developments slipped 1.29%, China Vanke fell 2.07% and China Fortune Land fell 2.76%.

Wall Street’s lead is negative as the major averages opened deep in the red on Tuesday, pared some of the losses but still closed nicely in negative territory.

The Dow Jones fell 402.23 points or 1.23% to end at 32,396.17, while the NASDAQ fell 20.22 points or 0.16% to close at 12,348.76 and the S&P 500 fell 27.44 points or 0.67% to end at 4,091.19.

The weakness that emerged on Wall Street came as tensions rose in the United States and China over the visit of United States House Speaker Nancy Pelosi to Taiwan.

In economic news, the Labor Department said the number of job openings in the United States fell by 605,000 from the previous month to 10.7 million in June, the lowest in nine months. and below market expectations of 11 million.

Crude oil futures traded higher on Tuesday as traders gauge the outlook for demand and supply and anticipate this week’s OPEC+ meeting. West Texas Intermediate crude oil futures for September ended up $0.53 or 0.6% at $94.42 a barrel.

Closer to home, China will also see July results for its services and Caixin composite indices later this morning; in June, their scores were 54.5 and 55.3, respectively.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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